What happens if your car is stolen or totaled during the course of a single-pay lease with GM Financial?

Perhaps my google-fu is not functioning but I can’t find the answer anywhere.

I believe that the insurance company will first pay off the bank ie GMF and then if there is any equity left over which is highly unlikely you would get paid.

While in all my years of owning a car I’ve only had one totalled (bought new and owned for 4 months before it caught fire while I was driving it), the odds are pretty good you won’t have a car totalled. However, that said, it’s been one reason I’ve thought single payment lease was a bad idea.

If you live in a state that charge the tax up-front, can you get tax refund for the portion of the lease that you did not used since car is totaled?

Still possible. Depends on the selling price, depends on the manufacturer, model .

My friend recently get totaled, 1.5 year of a 3 year lease of VW passat. He get 5K back, which covers all his payment plus a extra 2K

there’s no easy answer to this question and will depend on the insurance companies involved as well. You have to find out through them directly. Most likely you will be out money if you do a 1 pay lease which is why it’s not advisable on expensive cars.

some more discussion on this topic:

Makes sense, thanks for the replies. I was thinking that perhaps GM Financial would be paid out by the insurance company (in full since all leases have GAP) and then refund the lessee the remaining payments starting from the month after the vehicle was totaled. Not sure where I came up with that, just a wild assumption.